[ INSIGHT ] SCRESILIENCY
by Archita Prasad VP of Strategy, Corporate Development and New Product Innovation, UPS Capital upscapital@pancomm.com | 617-502-4300
How to Develop an Agile Supply Chain Businesses need to prioritize building supply chain strategies that can effectively navigate today’s increasingly volatile environment marked by supply chain disruptions, geopolitical tensions, and ever-changing consumer demands. Agility, resilience, and outside- the-box thinking have become critical to protect the customer experience—and the bottom line. patterns, anticipate demand, and adjust their product offerings and strategies accordingly. This level of agility is essential in today’s fast-paced business environment, where customer expectations are constantly changing and competitors are quick to capitalize on any opportunity.
WORK COLLABORATIVELY In addition to diversi cation and agility, businesses must also prioritize transparency and communication throughout their supply chain networks. Fostering collaborative relationships with suppliers, logistics providers, and other key stakeholders enables companies to proactively identify potential disruptions and develop contingency plans to mitigate their impact. Technology like predictive analytics can also help to bring transparency to the supply chain by ensuring visibility as product moves through each stage of delivery. Customer con dence in the sourcing and delivery of products can strengthen consumer trust and brand loyalty. By leveraging AI-powered personalization, diversifying supply sources, and fostering agility and transparency, companies can navigate the challenges of supply chain disruptions while delivering exceptional value to their customers. n
cultivating relationships with multiple suppliers across different geographical regions, businesses can reduce their dependency on single sources, therefore mitigating the impact of disruptions and ensuring continuity. Adopting a diverse network of suppliers not only reduces the risk of supply chain disruptions but also enables businesses to adapt rapidly to changing market conditions and customer demands. By having access to multiple sources, companies can quickly revise their procurement strategies as needed, ensuring that they can meet customers’ evolving needs while minimizing the impact of disruptions on their operations. Agile supply chain strategies also enable businesses to respond quickly to shifts in consumer preferences and market trends. For example, we’ve recently seen how quickly items worn by Taylor Swift can sell out small businesses. By closely monitoring trends data and leveraging predictive analytics, companies can identify emerging
One of the biggest opportunities for merchants lies in leveraging technology such as arti cial intelligence (AI) to tailor their offerings to customer preferences and help boost engagement and conversion rates. In fact, AI-powered personalization is one of the biggest opportunities for merchants to drive ROI. By harnessing the power of data, businesses can deliver highly customized product recommendations, content, and shipping options that resonate with their customers based on buying habits, location, and more. This tailored approach not only enhances the overall customer experience, but also strengthens the connection between brands and consumers, ultimately driving loyalty and long-term success. DIVERSIFY YOUR SOURCES Personalization, however, is just one piece of the puzzle. Diversi cation of supply chain sources is a critical strategy for mitigating the impact of disruptions and ensuring continuity of supply. By
42 Inbound Logistics • July 2024
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